Nottingham Forest suffer points deduction

Fan holding up football scarf for Nottingham Forest

NOTTINGHAM Forest have been docked four points after breaching Premier League profit and sustainability rules (PSR).

The Red’s losses in 2022-23 breached the threshold of £61m by £24.5m, this immediate loss of points forced them into the relegation zone dropping below Luton Town.

The deduction leaves Forest in 18th place and one point from safety with nine games to play.

In a club statement, the Midlands team said they are “extremely disappointed” with the final outcome, which they say “raises issue of concern for all aspirant clubs”.

Forest have become the second top-flight team to be penalised for breaching PSR rules just four months after Everton lost 10 points – but reduced to six on appeal.

Inside Nottingham Forest Stadium, image by PA Media

The Premier League had originally stated that Forest should be docked eight points due to the breach being 77% larger than Everton’s.

They were originally set to be hit with a six-point deduction – three points for the initial breach with a further three due to the size of the breach – however, their cooperation meant that it was reduced to four points.

“We believe that the high levels of cooperation the club has shown during this process, and which are confirmed and recorded in the commission’s decision, were not reciprocated by the Premier League.”

Nottingham Forest, The Guardian

BBC Sport reported Forest lost an average of £3m across 202 and 2021 with a further £40m loss in 2022 and a final £52m, amounting a total of £95m.

The sale of Brennan Johnson to Tottenham Hotspur back in September was seen as the ‘golden mitigation’ by the Premier League club.

The move, worth more than £45m, took place after the accounting deadline but Forest argue selling Johnson at a later date allowed them to earn a higher fee than if they had sold him by 30 June.

Premier League clubs are allowed to lose £105m over a three-year period but Forest’s permitted losses were limited to £61m because they spent two years of that period in the Championship.

This was another part of their defence, with the club claiming due to them being promoted that investment is vital to challenge at a higher level against more established teams.

Looking ahead:

March 25 is the deadline for any appeal from Forest to be submitted, followed shortly with the latest deadline for an appeal on April 1 – this must be given within seven days of the plea being received.

April 8 is one possible date that could be set for the appeal hearing, this would then last between one and three days but would conclude no later than 24 May.